The Information Commissioners Office (ICO) has said that it is ready to prosecute up to a dozen more companies who carry out cold calling and send spam text messages.
The news comes to the delight of the Motor Accident Solicitors Society (MASS) who have been campaigning to put an end to these practices in a bid to rid the industry of fraudulent claims.
A spokesman from MASS expressed their delight at the revelations saying: “There is no doubt that some unscrupulous Claims Management Companies (CMCs) continue to encourage fraudulent whiplash claims and while we welcome the ICO‘s action we believe that tighter regulation is essential to better monitor CMC‘s activity. This includes all regulators working together to ensure consistency of approach.”
He went on to add that the prospect of cold calling and spam texts was likely to increase if the government proceeds with proposals to raise the small claims limit from £1,000 to £5,000.
The ICO last week fined a second company for unlawful marketing techniques to attract personal injury and payment protection insurance claimants. DM Design, in Glasgow were hit for a £90,000 fine after the ICO received 2,000 complaints about their methods.
A spokesman for the ICO said: “The ICO has informed two more companies that it is intending to impose significant penalties over breaches of the law, with a final decision likely in the coming weeks. The two companies that have already received a provisional penalty notice work in the claims management and lead generation industries.”
1. Youtube; https://www.youtube.com/user/icocomms